German-American consortium to advise state highway company
Tuesday, May 24, 2005, 07:03
The consortium of Citigroup Global Markets Ltd and Deutsche Bank AG won a contract to act as financial advisor to the State Motorway Management Rt (ÁAK), ÁAK said. Bids for the project were invited in a public tender in late March, ÁAK said. The state company, which will take over the role of highway developer from the National Highway Rt (NA), needs a financial consultant to obtain finance in the free market for highway development and maintenance. The winning consortium is not going to charge a consulting fee for managing the Ft 3 billion transaction, however it will require a fee for providing a guarantee. This will amount to 0.1% of the value of the deal, but Ft 750 million at most. Economy and transport minister János Kóka approved the agreement between ÁAK and the consortium of banks today.